1. THE “ROARING’ ECONOMY OF THE 1920’S 1927 Ford Model T – the automobile was the symbol of the “new era” in American business

2. A Booming Economy: The 1920’s Income increases People purchase more goods Companies earn higher profits Companies expand and hire more people “Boom Cycle”

3. · Henry Ford used assembly lines to produce cars.Henry Ford Impact of the Car Industry

7. Model-T 1909 - $850 1916 - $360 1924 - $290Model-T Access Inflation calculator for today’s cost. · The efficiency of the assembly line helped to decrease car prices...\..\..\Inflation Calculator Find US Dollar's Value from 1913-2012.mht

8. The following industries grew as a result of the booming car industry: construction (roads and bridges) steel rubber glass paint oil housing (as the suburbs grew)

9. * Employment and the standard of living increased. As World War I ended, technology focused on consumer goods. (Ex: radios, washing machines, telephones, and cars) * An increase in wages caused an increase in buying power. 1925 RCA Radiola Super VIII

10. “Conspicuous Consumption” Buying to show off – flaunt your wealth Name brands, expensive price tags, the first one to own… Keep up with “the Jones” (neighbors)!

13. USE YOUR TEXTBOOK Pgs. 693-699 Make a list of all the many changes in business and the economy that developed throughout the 1920’s…..

14. “New Era” of Business New Products –Vitamins –Belt and bucket conveyor –Model T –Wristwatches –Canning –Cigarette lighters –Skyscrapers –Radio New Policies –Credit/Installment payments –“scientific management” Efficiency increases Profits increases The American Plan –End “closed shop” –Yellow dog contracts –“welfare capitalism” –“Kiss Me Clubs” Doctrine of Wages –$5 Day (H. Ford)

15. 1920’s Business World Mass Production Mass Media Materialism Modern Corporate Bureaucracy